Whistleblowers assembled in Committee Room 1 to hear apologies from Wirral Council over a toxic whistleblowing saga involving secrecy, national, local and regional government, internal and external audit, the private sector, ££££s, senior managers, contracts and Wirral Council

Whistleblowers assembled in Committee Room 1 to hear apologies from Wirral Council over a toxic whistleblowing saga involving secrecy, national, local and regional government, internal and external audit, the private sector, ££££s, senior managers, contracts and Wirral Council

Whistleblowers assembled in Committee Room 1 to hear apologies from Wirral Council over a toxic whistleblowing saga involving secrecy, national, local and regional government, internal and external audit, the private sector, ££££s, senior managers, contracts and Wirral Council

                                                 

Nigel Hobro (standing) addresses a special meeting of the Audit and Risk Management Committee of Wirral Council 8th October 2014 L to R Cllr Adam Sykes, Cllr David Elderton, Andrew Mossop, Surjit Tour, Nigel Hobro (c) John Brace
Nigel Hobro (standing) addresses the Audit and Risk Management Committee of Wirral Council 8th October 2014 L to R Cllr Adam Sykes, Cllr David Elderton, Andrew Mossop, Surjit Tour, Nigel Hobro (c) John Brace | still taken from video

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Above is a playlist of all parts of the Audit and Risk Management Committee (Wirral Council) meeting of 8th October 2014 held in Committee Room 1, Wallasey Town Hall starting at 6.00pm (apologies for recording problems)

Audit and Risk Management Committee
Cllr Jim Crabtree (Chair, Labour)
Cllr Ron Abbey (Vice-Chair, Labour)
Cllr Paul Doughty (Labour)
Cllr Matthew Patrick (Labour)
Cllr John Hale (Conservative spokesperson)
Cllr Adam Sykes (Conservative)
Cllr David Elderton (Conservative)
Cllr Stuart Kelly (Lib Dem spokesperson)

The Audit and Risk Management Committee of Wirral Council met for a special meeting about BIG/ISUS on the evening of 8th October 2014 whilst a thunderstorm raged outside Wallasey Town Hall. This was a continuing from its adjourned special meeting about the same topic on 22nd July 2014. For details of what happened at its meeting of the 22nd July 2014 see my earlier blog post Incredible first 5 minutes of Wirral Council councillors’ public meeting to discuss BIG & ISUS investigations.

The meeting started with a minute of silence for Mark Delap. Mark Delap was one of the Wirral Council employees that used to take minutes at its public meetings and had died recently.

After the minute of silence was over, the Chair asked for declarations of interest.

Cllr Matthew Patrick declared an interest due to a friendship with Nigel Hobro’s son (Nigel Hobro is one of the whistleblowers and spoke during the meeting itself).

Surjit Tour gave some brief advice to Cllr Matthew Patrick as to whether his interest was personal or prejudicial.

The Chair thanked Surjit Tour for the advice he had given to Cllr Matthew Patrick.

The Chair, Cllr Jim Crabtree then explained that there had been a lot of allegations since the issue had first been raised in 2011. There was a large volume of paperwork for the meeting, however details were redacted to protect businesses and companies. Also the names of officers and other people were blacked out. He also referred to commercial sensitivities and how they had gone to proper steps to protect identities.

He reminded people of the risk of legal challenge and Wirral Council’s liabilities. Cllr Crabtree asked everyone not to name names and continued by saying that any issues Wirral Council officers had addressed, they had done on behalf of the Council.

Cllr Stuart Kelly asked a question on the information that was redacted. He referred to a challenge to paragraph j, that was redacted in the papers to the July meeting, but was now provided. He wanted assurance from the legal officer Surjit Tour that the redactions were only in the categories as just outlined by the Chair.

Mr. Tour explained that the redactions had taken place to make sure that nobody by reasonable inquiry and information already in the public domain could piece together who or what the redacted information referred to and who the people redacted were. He added that in some cases it was unfortunately necessary to redact a lot of information mindful of what was already in the public domain, people could “fill in the gaps” which would expose Wirral Council to a liability.

The Chair invited Nigel Hobro to speak for at most fifteen minutes.

To be continued…

However below are some of my personal observations about this meeting I’ve started writing up above and a bit of a compare and contrast with two different special meetings of the Audit and Risk Management Committee held years apart (but both dealing with Wirral Council’s response to whistleblowers (one internal, one external).

It shows how history has a habit of endlessly repeating itself and is based on my opinion as one of the few people who was actually present at both meetings.

There are similarities between this public meeting and an earlier public meeting many years ago of the Audit and Risk Management Committee to decide on a response to the whistleblowing of former Wirral Council employee Martin Morton. Back then (years ago) there were arguments by politicians over a series of meetings over how much money should be paid back to those that were overcharged and to what year you go back to with the refunds.

Even when refunds were agreed by politicians, Wirral Council took so long that some of the people involved had died and in order cases (the ones that were still alive) the amounts were so large, that Wirral Council officers didn’t want to pay the people involved because they thought it would have a knock on effect on their benefits and officers doubted that some of the people had the capacity to be able to look after their own financial affairs.

Sadly the decision back then was fudged (which is partly what led to the problems later). Martin Morton’s concerns were also far, far wider than the overcharging issue, his concerns also involved allegations of the misuse of public money to fund organisations with links to serious and organised crime, serious allegations of serious crimes against vulnerable people who had apparently at the time not been investigated thoroughly enough, woefully poor corporate governance at Wirral Council, terribly weak political oversight due to put it frankly chaos back then and ultimately Mr Morton paid a personal price because people in Wirral Council tried to repeatedly punish him for daring to blow the whistle. Due to the large financial amounts involved, Cabinet had to sign off on the large expenditure that resulted.

One day before the AKA report was finally released to the public, the two middle managers involved in this matter were each paid a six figure sum each to leave Wirral Council.

At the earlier meeting (and at least one person on the Audit and Risk Management Committee is the same person as back then), the Chair back then accused one politician (Cllr Ron Abbey) of either not reading the papers for the meeting as they were asking questions that were already answered there or of completely misunderstanding what they had read (if they had read them). At this time the Chair was of a different political party to the Labour councillor (Cllr Ron Abbey) & in the interests of impartiality (with absolutely no offence meant towards one of my local councillors Cllr Jim Crabtree) many other local authorities have an unwritten rule that the Chair of the Audit and Risk Management Committee is not from the same political party as the ruling administration to ensure independence.

Knowing Cllr Crabtree as I do, I know that even if a councillor stepped out of line at a meeting he was chairing, even if the councillor was from the same political party as he was, Cllr Crabtree’s personality is such that he would frankly realise that it’s in the “public interest” to hold his fellow councillors to account even if he would have to be careful how he did this in public.

After it seems part of the reasons why Labour got a small majority on Wirral Council is because councillors from that party woke up the news that the Wirral public expected them to hold other politicians to account in public even if these were other councillors from the same political party.

Bill Norman (who left in somewhat mysterious circumstances in 2012) was the legal adviser to that earlier Audit and Risk Committee meeting years ago, not Surjit Tour as it is now. The issue of blacking out all the names (and other details) in the published papers was addressed by Bill Norman then with broadly similar reasons given to those given by Mr. Tour many years later. However I will point out that the culture of legal practice is such that confidentiality, especially when it comes to active proceedings is extremely important to maintain!

At the time this written material authored by Mr. Morton included in the papers for the meeting was also redacted, so this aspect of whistleblowing hasn’t changed much at all over the years at Wirral Council.

Wirral Council, back then and as it seems now has a fear of being sued. Although if they were open and transparent wouldn’t Wirral Council welcome judicial oversight of their decisions as it would give Wirral Council the chance for someone independent to look at it and the opportunity to defend themselves in court if they had done nothing wrong?

Perhaps it’s unfair to say a fear of being sued, it’s a fear at Wirral Council of being sued and losing and the results that flow from that which could be a combination of large financial penalties (or other things) as well as the fact that court reporters such as myself or the publications they publish in can’t actually be sued under British law for court reporting as long as we comply with the few rules that apply as court reporting attracts absolute privilege. All court hearings whether public or private are recorded by the court on tape anyway and in theory transcripts can be ordered.

Some may say for a large local Council (covering a population of ~320,000), whilst obviously they have their own organisational reputation to consider, that they seem unduly concerned at times at reputation management (although this is also a preoccupation of political parties) rather than dealing with matters in an entirely open and transparent way. There is a blurry line between the individual reputations of senior managers and politicians on one hand and the organisational reputation of the organisations they are either employed by or are elected to represent the views of the public at.

Some of the reports that went to the most meeting the day before yesterday, have been the subject of previous articles by me and FOI requests.

You can read my FOI request (25/8/13) for the report on ISUS here, which was refused on 23/9/13 and refused at internal review on 24/10/13. That external audit report can be read as part of the committee’s papers (see agenda item 2 and the links from this page on Wirral Council’s website if you wish to do.

Had the responses to those FOI requests been forthcoming and Wirral Council provided the information within weeks a lot more would have been in the public domain before the July and October meetings in 2014 of the Audit and Risk Management Committee meetings. Wirral Council instead chose to rely on exemptions to suppress the information and knew I was unlikely to appeal to ICO, as if I had I’d probably still be waiting for a decision!

Excessive secrecy just makes the public and press suspect that there’s a deliberate cover up or Wirral Council has done something it’s ashamed or embarrassed about. Usually the answer is a little more complicated than a conspiracy.

The Merseyside police investigation (which resulted in no charges) was used as an excuse by Wirral Council to deny FOI requests, not just about the one Grant Thornton recommended was referred to the police, but information in general about the other aspects too.

Wirral Council was recommended by the forensic arm of its external auditors to refer one very minor matter to the police. Wirral Council did and this was then used this as an excuse to delay and prevent further scrutiny. The police response (and I summarise) was that based on what they were told that there was insufficient evidence to charge somebody (or somebodies) with a crime. Remember criminal charges require basically two elements, proof that the alleged crime occurred and also generally for most criminal matters mens rea (proof of a “guilty mind” too). The latter is often harder to prove than the former, which is why defendants sometimes plead not guilty in order to get a jury trial! As Wirral Council actually carries out criminal prosecutions through the Wirral Magistrates Courts, I’m sure someone there who is actually aware of these matters!

This article is getting rather long and at the two thousand word mark I am somewhat digressing into related matters, although obviously it is not as long as the papers for that meeting which come in at the length of a medium-sized novel!

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Cllr Stuart “Robin Hood” Kelly takes on Cllr Phil “Sheriff of Nottingham” Davies on a matter involving Wirral’s forest

Cllr Stuart “Robin Hood” Kelly takes on Cllr Phil “Sheriff of Nottingham” Davies on a matter involving Wirral’s forest

Cllr Stuart “Robin Hood” Kelly takes on Cllr Phil “Sheriff of Nottingham” Davies on a matter involving Wirral’s forest

                                                       

Councillor Stuart “Robin Hood” Kelly explains to the Coordinating Committee why he disagrees with the Cabinet decision about Forest Schools and Healthy Homes 18th September 2014 Committee Room 1, Wallasey Town Hall

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The following is meant as satire. Obviously Cllr Stuart Kelly is not Robin Hood and Councillor Phil Davies is not the Sheriff of Nottingham. You can watch the meeting from beginning to end, however the video clips below are of the part of the meeting described below that video clip.

Councillor Stuart “Robin Hood” Kelly had gone into Nottingham’sWirral’s castle as he disagreed with the plans of Cllr Phil “Sheriff of Nottingham” Davies. The plans Cllr Phil “Sheriff of Nottingham” had were about the Forest Schools and Healthy Homes programs.

Councillor Stuart “Robin Hood” Kelly regularly appeared in articles in the local newspaper the NottinghamWirral Globe and was known for being a “thorn in the side” of the Sheriff.

In the recent past he had argued with the Sheriff as the Sheriff was charging the poor peasantspeople (who didn’t have computers) of Wirral an extra £5 to have their garden rubbish removed in brown bins. The Sheriff had disagreed with Cllr Stuart “Robin Hood” Kelly then. As far as the Sheriff was concerned, the bins tax was fair (and although not stated obviously fairer than the bedroom tax which the Sheriff was against).

After the Sheriff had heard at a meeting recently that any of the peasantspeople of Wirral could go into one of its many 24 libraries (on which a consultation on reducing the opening hours was now taking place on the orders of the Sheriff) and sign up to pay the “bin tax” online (completely failing to mention the irony of Cllr Foulkes’ plan to close half of the libraries which was stopped a few years ago by Sue Charteris, the Labour government and the people of Wirral).

One of the Sheriff of Nottingham’s colleagues Cllr Moira McLaughlin of Rock Ferry (who is not Maid Marian despite also having the initials MM) told Cllr Stuart “Robin Hood” Kelly that he had five minutes only to make his case. Thankfully she did not add that if he exceeded his time she would call the guards of the castle and have him dragged off to the dungeon (formerly the Mayor’s wine cellar) for having the gall and brass neck to try to upset the Sheriff.

Cllr Stuart “Robin Hood” Kelly of Oxton explained the many hardships the peasantspeople were suffering. He wanted the children of Wirral to visit the forests! He wanted the people to have warm homes and not be cold in the winter ahead! He was doing this all for the people! He disagreed with Cllr Phil “Sheriff of Nottingham” Davies as he felt that it was wrong to try to stop or cut how much was spent on these matters as if they did the people would suffer!

Cllr Moira McLaughlin of Rock Ferry then called Cllr Phil “Sheriff of Nottingham” to speak, again for up to five minutes.

Cllr Phil “Sheriff of Nottingham” Davies was keen to show he wasn’t as bad as Cllr Stuart “Robin Hood” Kelly had painted him earlier. He blamed it all on Prince John Queen Elizabeth II and the Coalition government. He explained that the Forest Schools target was to send 660 children to the forests of Nottingham Wirral over the last two years. In fact at the end of year one it had exceeded its target! Therefore this was why the money was taken away. Yes, classes of fifteen, instead of thirty were now being used but this was all for the be benefit of the children! It was his contention that both on Healthy Homes and Forest Schools that this was prudent financially.

Cllr Moira McLaughlin of Rock Ferry then asked for the witnesses to be called. A senior manager of the forests of Wirral came to speak. She explained what the Forest Schools program was about and how it was run by the rangers. They had decided that classes of fifteen were the best size. The experienced rangers were running the program, with the money used to backfill their positions.

Cllr Mike Sullivan of Pensby & Thingwall said how fabulous the work of the Forest Schools was and how it was better now it was fifteen and not thirty.

Another councillor asked if the budget was cut. The senior manager of the forests confirmed it had. Cllr Moira of Rock Ferry referred to a “reduction in activity” followed by Cllr Mike Sullivan again.

Cllr Janette Williamson of Liscard described it as a “great project”.

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The effect on the children was talked about as well as how it made a “voluntary mute” “chatty and enthusiastic”. However the officer warned of the effect on places like Bidston Hill which was suffering whilst its ranger was doing this.

Cllr Dave Mitchell of Eastham asked a question about £18,000? The officer replied that was the underspend in year one. She continued talking about the beneficial effects on the young children and the benefits of it, not just on the children but on others too. The reduction in early years involvement in the Forest Schools program from four events to two was referred to. Various people asked questions and the debate went on.

Cllr Mike Sullivan of Pensby & Thingwall referred to the fact they might have to lay off rangers, to a rather horrified look from Cllr Moira of Rock Ferry who intervened. How much each schools paid to be involved was mentioned, with the poor schools paying less than the richer schools.

Cllr Paul Doughty of Prenton referred to the benefits, a decrease in school absence, increase in outdoor use and exercise and other benefits. The manager replied. She was thanked by Cllr Moira of Rock Ferry who then asked the Healthy Homes witness to come forward.

Lisa told everybody about what the Healthy Homes program was, how it was about healthy lifestyles, smoking cessation and a “whole house” approach (whatever that means). She referred to the NHS, training “champions” and “partner agencies” as well as grants and loans that could be provided to tackles hazards.

Cllr Mitchell of Eastham referred to Merseyside Fire and Rescue Service. The manager referred to “significant progress” as well as the police service and fire service. He asked her another question and she said she could only speak for Wirral Council. Cllr Mitchell of Eastham asked another question.

Cllr Berry of Moreton West and Saughall Massie asked about the budget cut and when she had been told? Had she been asked for comments about the potential impacts? He referred to numbers of assessments done.

The answer given referred to housing renovation loans, central heating and grants. Cllr Janette Williamson of Liscard indicated her question had already been answered. Cllr Paul Doughty of Prenton referred to a presentation last year of Ian Platt about the Healthy Homes program and funding. The manager replied to his points using phrases such as that they could “still help everyone”.

Cllr Mike Sullivan of Pensby & Thingwall said the manager was not “Mystic Meg”. Cllr Moira of Rock Ferry thanked the witness and called Kevin Adderley.

Kevin Adderley said he was “very pleased” and that the two schemes he was “proud of”. He went into detail about the impacts of the Forest Schools and Healthy Homes programs and referred to the Chief Executive’s Strategy Group.

Cllr Mitchell of Eastham asked why he had selected these to be earmarked for savings and why wasn’t the money capitalised?

Kevin Adderley answered that was explained in the Cabinet Report. He went into a little more detail. Mitchell of Eastham asked another question, Kevin Adderley again referred to the Chief Executive’s Strategy Group.

Cllr Moira McLaughlin of Rock Ferry made a point, Cllr Wendy Clements of Greasby, Frankby & Irby referred to all the people who could be helped. Kevin Adderley replied that it was in privately owned accommodation, not registered social landlord and that they couldn’t be expected to knock on 100,000 doors on the Wirral, they had to rely on people coming forward.

Cllr Wendy Clements of Greasby, Frankby & Irby referred to that they were in danger of disadvantaging people and that they should be proactive. Kevin Adderley replied that he was sure they wouldn’t want to advertise to private sector landlords and that there was a “fine balance”.

Cllr Paul Doughty of Prenton referred to the “age of austerity” and that he could only think in terms of his own household’s budget. He disagreed with capitalising the expenditure and referred to cuts and the “prudent financial management” and that they shouldn’t be finding ways of spending money that they haven’t got.

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Cllr Moira McLaughlin of Rock Ferry asked Fiona Johnstone to come forward as a witness. Fiona Johnstone said she would take questions, but in answer to an earlier question about process it had first been agreed with the Cabinet portfolio holder. Kevin Adderley left for two minutes at this point. She continued by explaining the history of it all and when things had happened and would happen. Kevin Adderley returned. Fiona Johnstone continued on about Forest Schools and other matters. Mitchell of Eastham referred to the benefits to the children. Fiona Johnstone replied that there would be a full evaluation in May or June. However in her view the question was what could they afford to do more efficiently followed by talking about outcomes. Cllr Mitchell of Eastham referred to the review. Cllr Moira of Rock Ferry interrupted.

Cllr Wendy Clements of Greasby, Frankby & Irby referred to the fact it was public health money. Fiona Johnstone answered that they were waiting till the call in was complete. Cllr Anita Leech of Leasowe and Moreton East referred to the Cabinet minute about public health spending. Fiona Johnstone replied that they had monthly reports on the budget and in answer to a question as to whether these monthly financial reports went to the Families and Wellbeing Policy and Performance Committee the answer was “not now”.

Cllr Gerry Ellis of Hoylake and Meols asked a question. The answer given by Fiona Johnstone was that every project had been asked to make an assessment of the impact and those assessments had been received. Cllr Gerry Ellis of Hoylake and Meols asked if that was a written assesment? Fiona Johnstone replied that it was for 38 projects. Cllr Phillip Brightmore of Pensby & Thingwall asked a brief question to which Fiona Johnstone referred to that there would be a need to understand a proper evaluation.

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Cllr Moira McLaughlin of Rock Ferry asked Cllr Stuart “Robin Hood” Kelly to sum up in five minutes. Cllr Stuart “Robin Hood” Kelly referred to the ringfencing of the money for public health. He said that the Forest Schools was “knocked into a cocked hat” and was a “victim of its own success”. Cllr Stuart “Robin Hood” Kelly referred to the reduction in class sizes from thirty to fifteen and referred to the Healthy Homes scheme.

He was interrupted by others, but Cllr Moira of Rock Ferry told him to “carry on”.

Cllr Stuart “Robin Hood” Kelly referred to substandard housing and how it had nothing to do with next year’s deficit. He questioned the stability of this year’s budget and how they could say that reducing to fifteen in each class for Forest Schools was a “success”? He referred to twenty-one households who would be affected by Healthy Homes and that how they need to think about priorities as these were small amounts of money.

Cllr Moira McLaughlin of Rock Ferry asked Cllr Phil “Sheriff of Nottingham” Davies to speak for five minutes.

He thanked Cllr Moira McLaughlin, said the project was a pilot project time limited to two years but that it was “something new” and “not a precise science”. Cllr Phil “Sheriff of Nottingham” Davies was not surprised that they had not been able to spend their total amount of funding. In the case of Forest Schools and Health Homes he felt it was “financially sensible” to make savings and think about “how best to use the money”.

He then went to refer to “savage cuts” and how Cllr Stuart “Robin Hood” Kelly was asking for the original budgets to be restored. Even if he did restore the budget he didn’t think it could be spent by 31st March 2015 as the rangers wouldn’t have the spare capacity, he even went so far as to use the word “nonsense”.

In closing he said he would like to see the projects continue, referred to them as “fantastic” and what’s needed was an “enlightened government” (in reference to cuts). He asked Cllr Stuart “Robin Hood” Kelly to join him in a lobby on the train to number 10 Downing Street to endorse the position of the Cabinet.

Cllr Moira McLaughlin of Rock Ferry asked if anyone wanted to debate it. Cllr Gerry Ellis of Hoylake and Meols left.

Cllr Jerry Williams of Bebington said that the Council was “working well” in “difficult circumstances” and that he knew Cllr Stuart “Robin Hood” Kelly was an “opposition councillor”. He wanted to dwell on the positives rather than being totally negative.

Cllr Wendy Clements of Greasby, Frankby and Irby said that it was public health money and they had to remember that it was nothing to do with the challenges.

Cllr Anita Leech of Leasowe and Moreton East referred to the ringfencing of the money and how the best number of class sizes was fifteen for the Forest Schools program. Cllr Dave Mitchell of Eastham referred to the Forest Schools project being an “excellent project”. Cllr Gerry Ellis of Hoylake and Meols returned. Cllr Dave Mitchell of Eastham continued by referring to what Ed Miliband and the Labour Party’s spokesperson had said would happen if they were elected in May 2015 and how they would not change anything. He referred to how the Forest Schools program was allowing young people to improve their lives.

Cllr David Elderton of West Kirby and Thurstaston referred to the concerns of Wendy Clements and the ringfencing of the money and that they should leave it alone and not throw the “baby out with the bath water”. Cllr Phillip Brightmore of Pensby and Thingwall referred to the money.

Cllr Moira of Rock Ferry referred to Cllr Paul Doughty’s resolution and the three options they had. However the middle one wasn’t applicable. They could refer the matter back to Cabinet or agree to uphold the original decision.

Cllr Paul Doughty of Prenton move a recommendation congratulating officers and referring to “prudent financial management”. His recommendation was that the Cabinet decision of 7th July 2014 would stand. Cllr Moira of Rock Ferry seconded it.

An amendment was moved by Cllr Wendy Clements of Greasby, Frankby and Irby. The amendment was to refer it back to the Cabinet asking them to be careful to evaluate the use of ringfenced funds and retain the projects. This was seconded.

There was a vote on the amendment.

For the amendment (6): Cllr Dave Mitchell, Cllr Bruce Berry, Cllr Gerry Ellis, Cllr David Elderton, Cllr Steve Williams and Cllr Wendy Clements.

Against the amendment (9): Cllr Janette Williamson, Cllr Jerry Williams, Cllr Michael Sullivan, Cllr Walter Smith, Cllr Christina Muspratt, Cllr Anita Leech, Cllr Phillip Brightmore, Cllr Paul Doughty and Cllr Moira McLaughlin.

The amendment was lost.

Voting on the original recommendation.

For the recommendation (9): Cllr Janette Williamson, Cllr Jerry Williams, Cllr Michael Sullivan, Cllr Walter Smith, Cllr Christina Muspratt, Cllr Anita Leech, Cllr Phillip Brightmore, Cllr Paul Doughty and Cllr Moira McLaughlin.

Against the recommendation (6): Cllr Dave Mitchell, Cllr Bruce Berry, Cllr Gerry Ellis, Cllr David Elderton, Cllr Steve Williams and Cllr Wendy Clements.

The recommendation was won and the nine Labour councillors voted to uphold the original decision of the Labour Cabinet (which is led by Cllr Phil “Sheriff of Nottingham” Davies).

The original Cabinet decision of the 7th July 2014 upheld by a majority vote (the call in related to section (5) of the original decision) was:

RESOLVED: That

Revenue:

(1) it be noted that at Month 2 (May 2014), the full year forecast projects a gross General Fund overspend of £3,137,000;

(2) the increased commitment of £152,000 for Carbon Reduction Commitment allowances contained within the above figure be noted;

(3) that the payment of New Homes Bonus grant of £242,253 which is a general grant received outside of directorate budgets be noted;

(4) the risks relating to non delivery of savings as detailed in paragraph 3.3 of appendix A and requirement for mitigation and actions to be identified be noted;

(5) the mitigation actions being undertaken including capitalisation, reprofiling and use of public health budgets as per paragraph 3.5 (of Appendix A) and reductions to 2014/15 growth as detailed in paragraphs 5.2 and table 5 above (of Appendix A). Further mitigation action will be developed as appropriate during the year;

(6) the application of the additional New Homes Bonus grant against the Carbon reduction commitment and overall overspend to reduce the net overspend to £2,894,747 be approved.

Capital:

(i) the spend to date at Month 2 of £1.3 million, with 16.7% of the financial year having elapsed be noted; and

(ii) the revised Capital Programme of £61.3 million (Table 1 at 3.1 of Appendix B) be approved.

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Bins, Biffa, page 59, Wirral Council, “Confidential Information” and what you’re not supposed to know (yet)

Bins, Biffa, page 59, Wirral Council, “Confidential Information” and what you’re not supposed to know (yet)

Bins, Biffa, page 59, Wirral Council, “Confidential Information” and what you’re not supposed to know (yet)

                                               

I was reading through the Biffa contract (who get paid ~£12 million a year for collecting bins and other things) and this interesting snippet about Freedom of Information and Data Protection caught my eye on page 59. I haven’t made any FOI requests for the yearly CO2 emissions of bin lorries but this is how such a request would be dealt with if someone were to do so. This is probably only of interest to those who work in this area such as the media, FOI practitioners and of limited interest to the public, so apologies if I’m getting boring! Contractor in the contract refers to Biffa Waste Services Limited. At 4.61.2.3 I couldn’t help but laugh at the bit about time for compliance for FOI requests considering Wirral Council’s track record and my recent decision notice from ICO on that matter.

The “absolute discretion” bit in 4.61.3 is very interesting as quite often local councils refuse to release information about companies and contracts on commercial sensitivity grounds saying well we’d like to give you this information but company X won’t let us.

Last Thursday (11th September 2014) Wirral Council’s Cabinet agreed to ask Kevin Adderley to enter into negotiations with Biffa over extending this ~£12 million/year contract from 2020 to 2027 without putting it out to tender. However an extra clause was added over value for money. Mr. Adderley was asked to report back to a future Cabinet meeting on the outcome of negotiations.

However the contract does state that if Wirral Council wish to extend the contract from 2020 to 2027 they don’t have to tell Biffa this until on or before 21st August 2019. So why the big rush other than to pander to Biffa’s commercial interests and damage Wirral Council’s?

Well from what was said at the Cabinet meeting Biffa Waste Services Limited have offered Wirral Council “incentives” on the current contract (which runs to 2020) if Wirral Council agree to a seven-year contract extension and don’t put it out to competitive tender when it expires in 2020.

Extending the contract by seven years is effectively making a decision that will tie the hands of future administrations (of whatever party or parties) at Wirral Council. However I’m sure (if officers are doing their job properly) that what I’ve just written is the kind of details that were in the exempt appendices for last Thursday’s Cabinet meeting. The Labour politicians on Wirral Council’s Cabinet decided that the public aren’t really supposed to know about it (which is why the press and public got chucked out of the public meeting before those appendices were decided despite the public interest test arguably being in favour of such stuff being in the public domain).

Another factor to consider is that from November 2014 Wirral Council will be under a legal duty to publish such contracts (we here have a copy of the very long contract as part of the 2013/14 audit but it would probably take me about a day of work just to publish a fraction of it as it is very, very, very long) and from November 2014 invoices. Hence I’m sure Biffa are keen to have it extended by seven years, before people like the Rt Hon Frank Field MP start referring to them again (see the last Birkenhead Constituency Committee meeting for that) and anyone kicks up more of a fuss! Oh dear, have I let an awful lot of cats out of the bag yet again?

======================================================================================================================

4.61 Freedom of Information and Data Protection

4.61.1 The Contractor acknowledges that the Council is subject to the requirements of the FOIA and the Environmental Information Regulations and shall assist and cooperate with the Council (at the Contractor’s expense) to enable the Council to comply with Information disclosure requirements.

4.61.2 The Contractor shall and shall procure that its sub-contractors shall:

4.61.2.1 Transfer a Request for Information to the Council as soon as practicable after receipt and in any event within two Working Days of receiving a Request for Information;

4.61.2.2 Provide the Council with a copy of all Information in its possession or power in the form that the Council requires within five Working Days (or such other period as the Council may specify) of the Council requesting that Information; and

4.61.2.3 Provide all necessary assistance as reasonably requested by the Council to enable the Council to respond to a Request for Information within the time for compliance set out in section 10 of the FOIA or Regulation 5(2) of the Environmental Information Regulations.

4.61.3 The Council shall be responsible for determining at its absolute discretion whether:-

4.61.3.1 The Information is exempt from disclosure under FOIA and the Environmental Information Regulations;

4.61.3.2 The Information is to be disclosed in response to a Request for Information, and

4.61.3.3 In no event shall the Contractor respond directly to a Request for Information unless expressly authorised to do so by the Council.

4.61.4 The Contractor acknowledge that the Council may, acting in accordance with the FOIA, or the Environmental Information Regulations disclose Information:-

4.61.4.1 Without consulting with the Contractor, or

4.61.4.2 Following consultation with the Contractor and having taken its views into account.

4.61.5 The Contractor acknowledges that any lists or schedules provided by it outlining Confidential Information are of indicative value only and that the Council may nevertheless be obliged to disclose Confidential Information in accordance with Clause 4.60.2.1.6.3.

4.61.6 The Contractor shall ensure that all information produced in the course of the Contract relating to the Contract is retained for disclosure and shall permit the Council to inspect such records as requested from time to time.

======================================================================================================================

Biffa Waste Services Limited contract Wirral Council page 59
Biffa Waste Services Limited contract Wirral Council page 59
Biffa Waste Services Limited contract Wirral Council page 25
Biffa Waste Services Limited contract Wirral Council page 25

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A fictional conversation with our own legal department about Lyndale and other matters

A fictional conversation with our own legal department about Lyndale and other matters

A fictional conversation with our own legal department about Lyndale and other matters

                                                     

Councillor Tony Smith (Cabinet Member for Children and Family Services) at the Special Cabinet Meeting of 4th September 2014 to discuss Lyndale School L to R Cllr Stuart Whittingham, Cllr Tony Smith, Cllr Bernie Mooney and Lyndzay Roberts
Councillor Tony Smith (Cabinet Member for Children and Family Services) at the Special Cabinet Meeting of 4th September 2014 to discuss Lyndale School L to R Cllr Stuart Whittingham, Cllr Tony Smith (Cabinet Member for Children and Family Services), Cllr Bernie Mooney and Lyndzay Roberts

Legal department: You’re skating on thin ice you know. That article you published last Friday morning about the ~£2.7 million valuation of Lyndale School months before the decision over closure probably led to an article in the local newspaper/website called the Wirral Globe by Emma Rigby carrying quotes from various well-known people and well you’re causing trouble again.

John Brace: Yes I know I wrote it. So your point is?

Legal department: You cause us enough stress and sleepless nights as it is without adding to it. You remember that letter you wrote to Wirral Council?

John Brace: Yes. How can I forget it as I had a hand in it and published it?

Legal department: And you remember our advice at the time?

John Brace: Yes. Although thankfully nobody can FOI us for legal advice unlike our modern “open and transparent” Wirral Council and Surjit Tour’s advice to councillors on the Lyndale matter which I was slightly shocked they actually released in response to a FOI request.

Legal department: Now, there you go again! Don’t you know when you stop?! We know you’re a good at what you do but there are frankly limits to this you know! What does it take to keep your mouth shut for once!? Why are you meddling in the Lyndale matter again and making waves yet again? Just let it be!

Write about bin collection and Biffa, a consultation on closing children’s centres, Birkenhead Market and the Traffic Regulation Order issue, New Brighton & Neptune, golf (there’s an awful lot you could write about golf), councillor’s expenses, job cuts, even Kevin Adderley if you have to but please anything apart from Lyndale School! Please!!!

John Brace: Because the public have a right to know! Plus there are sound commercial reasons for doing so due to the demographic makeup of our readers/viewers.

Legal department: *sighs* Well let someone else tell them then! There are some things you just shouldn’t put in the public domain or draw attention to at this stage.

Please don’t write anything more about Lyndale connected to that letter. That is the advice.

John Brace: For how long?

Legal department: Just steer clear of anything specific with regards to that letter for obvious reasons!!!

John Brace: But even if the case was “active” (which it isn’t) s.5 of the Contempt of Court Act 1981 c.49 allows for “a publication made as or as part of a discussion in good faith of public affairs or other matters of general public interest” …. “if the risk of impediment or prejudice to particular legal proceedings is merely incidental to the discussion.”

Legal Department: Look you indeed wrote the policy on this about keeping your mouth shut when it comes to legal matters. It complicates things. You know the reasons why.

If you write too much before a matter is even put before a court, it tips off the other side in the case as believe it or not people involved with Wirral Council read your blog and the last thing you want to do is complicate things that are complicated enough.

John Brace: True I did. For extremely sound reasons. Thanks for reminding me. However I also wrote an editorial override in that policy which requires two people to agree.

Legal Department: Well you don’t have the approval of two people yet (thankfully). The matter has been somewhat complicated by the call in anyway as the Cabinet decision will now not be implemented until a further meeting of the Coordinating Committee.

John Brace: Who’s the lead signatory?

Legal Department: Councillor Paul Hayes. However 27 other councillors have also called it in.

John Brace: Wow must be a record, so you’re saying write about other stuff?

Legal Department: Yes, or limit yourself on Lyndale to writing just about other people or just merely reporting the facts of what’s going on, preferably facts that are already in the public domain.

John Brace: So for example starting on a transcript of the Cabinet meeting on 4th September 2014 about Lyndale School for the hard of hearing?

Legal Department: That’s ok, as we have protections under libel laws from reporting on public meetings at Wirral Council which is referred to as “qualified privilege”. Anyway there’s already been a request for that. You’ve got a bit behind with subtitling videos anyway.

John Brace: But nobody’s ever threatened us with libel over Lyndale School, just about the Chief Executive’s email about the golf (later withdrawn) but I take your point about subtitling.

Legal Department: Yes, but the impression in some quarters is that you’re putting a bunch of highly inconvenient truths out there in the public domain about Lyndale School that could be easily used for party political purposes (and have been).

John Brace: Oh come on, a politician and party members at the report produced as a result of my disciplinary panel hearing said I was writing a “little read blog” or words to that effect. I’m not really that influential.

Legal Department: Exactly, but that was three years ago. Comparing September 2014 to September 2011 is like comparing apples with pears. There are thousands of people reading this blog each month now, compared with only hundreds of people a month back in September 2011. This is party because since leaving the Lib Dems you’ve spent more time at your “day job”.

Things have changed. Politicians disliked you even back then for telling the public the truth as you saw it as to what was really happening and the Lib Dem ones ended up getting somewhat censured as a result for using Wirral Council resources for party political purposes. Remember what happened to Martin Morton? Don’t end up like him!

Understandably they wanted to bury the truth (which was tied in to a conspiracy of silence on Martin Morton/Anna Klonowski/another disability matter and corporate governance issues) and cover things up for party political reasons. Even though all but one of the things that you were actually accused of were false, therefore the suspension wasn’t legitimate but as a Lib Dem politician (and former Lib Dem politician) had said this to their fellow Lib Dems they could hardly turn round and admit that any of their former politicians told lies (even though they may say that in private) could they? As you well knew at the time, they decided it was best to keep you in the party as a way to control you, as even at that stage you knew too much and you were becoming a nuisance to those in power as how they wanted things to play out.

Yours and Leonora’s resignation from the Lib Dems in January 2012 was somewhat unexpected, but resolved an ongoing conflict of interest about reporting on Lib Dem politicians and let’s face it Labour got exactly what they wanted out of this as four months later when they got a majority on Wirral Council.

Even the version of events that everybody actually agreed upon at your disciplinary panel hearing back in September 2011 was so extremely damaging to the reputation of the Lib Dem Party itself so they understandably took the “shoot the messenger”/ “rewrite history” approach and they took it out on you (as you must have expected on some level that they would do so and if you didn’t perhaps as the youngest party member in Birkenhead you needed to “grow up” and let’s face it one of the older party members at that meeting that made the decision had referred to you as a “baby” in a previous meeting which of course is not “ageist” is it?).

Your attempts at somewhat humourous comments during that meeting (which according to their own constitution and later concluded lawsuit was indeed a flagrant breach of their own party’s constitution to even hold (as you pointed out to them at the time but they once again ignored you)) but hey they’re Lib Dems and it seems that their own rules can be twisted by themselves beyond breaking point in an abuse of power) about a dead dog and a shooting at your disciplinary panel, were in extremely poor taste considering two of the people who had been shot at were actually at the meeting itself. It’s a party that would prefer to forget Jeremy Thorpe and how much of a PR nightmare that was for them (even though he was acquitted in a court) and to be honest with you were somewhat goading them into having to explain themselves because they’d been all instructed to keep their mouths shut and stick to a “party line” when you previously had asked them questions.

Let’s face it you sued an entire party (and won) and took a politician to court (and won)! How many people ever do that? Not many! You’re unusual, even when during the meeting in June 2011 when they tried to suspend you your threats of legal action and “seeing them in court” seemed to them like bluster so one of them laughed (which is partly why you got kicked at under the table and then slapped in the face but then people can lose their cool at party political meetings) and even though you later did have the judiciary intervene, your repeated warnings fell on completely deaf ears because they had (especially the politicians) made their minds up as to what to do before the meeting even started and were going to stick to this agreed party line.

That is part of the reason why you weren’t allowed to attend your own disciplinary meeting. By deliberately starting it late, it gave a chance for the decision to be made before the meeting had even started and in a way where you’d have no influence over the outcome.

You know as well as I do that two former Lib Dem councillors were being used as proxies as part of a renewed Labour plot to blacken your name and make things up about you (because let’s face it you were fast becoming a threat to the Labour Party too and deemed to be less of a threat to them if you weren’t a member of another rival political party) Let’s face it Cllr Harry Smith had already had a right moan to both you and the party about you (including a “With Compliments” Wirral Council slip with his letter) about telling the public in a party political publication delivered to the Bidston & St. James area that he wasn’t (when he was Vice-Chair) at a Pensions Committee meeting of Wirral Council at the time when it was reported that the Pension Fund dropped by around £700 million and let’s face it if the Fund drops considerably the difference has to be made up by the taxpayer).

Cllr Harry Smith felt it was terribly unfair that people were going along to his councillor’s surgery and asking him pointed questions about why (even though he was Vice-Chair of the Pensions Committee) that the Merseyside Pension Fund had dropped by so much. Let’s face it it is a fund that affects over a hundred thousand people and even the local newspapers reported it at the time.

If Cllr Harry Smith wishes to go on holiday, miss a public meeting and not even send a deputy along to a meeting and then somewhat unfortunately get suspended as a councillor (in an unrelated matter) for a week for bullying other people, well as we all know from past experience these type of people are exactly the kind of person the Liberal Democrat Party have to take seriously because they’d rather the likes of Councillor Harry Smith were getting irked at someone else instead of at them!

This goes so far as even if it seems like they’re breaking their own party rules by pandering to another political party’s interests in that process because as we all know Lib Dems love their “due process” even if that results in an “abuse of power” or a “court case”.

John Brace: However in perhaps a flagrant breach of etiquette I will say that during that particular meeting and I won’t state who (other than it wasn’t me or Leonora) said that Councillor Harry Smith moaning about someone else for holding him to account was like “the pot calling the kettle black” and let’s face it Cllr Harry Smith has been referred to by one of his fellow Labour councillors as “royalty”.

That is partly why the renewed plot in 2011 had to be done through two Lib Dem proxies.

Let’s face it if you do anything in politics, you will attract more complaints, even fictional ones. If a party spends hours looking into every fictional complaint however trivial it is time that is not spent delivering leaflets or winning elections.

The actual politicians attracted far more complaints than I ever did (even during my brief years as a politician over in Liverpool) and although they never went so far as to suspending them from the party they did exactly the same thing to them in removing them from all committee positions and blackening their name in public. They tried to embarrass them into toeing a party line and it backfired, just look at how disastrous the libraries matter was handled and the resultant public inquiry led by Sue Charteris. It made the fromer Lib Dem politician that said in public that Wirral Council would be “vindicated” by the public inquiry look to be completely wrong.

But let’s face it if they’re taking the likes of the Labour’s Councillor Harry Smith seriously (even his own party has had concerns about him to put it mildly), it is seriously the thin end of the wedge from a party political perspective.

After all once people start getting beaten up and shot at for political reasons, it’s gone well beyond being politics and become the realms of terrorism. It’s moved well beyond merely political debate into law and order issues.

As I know myself from bitter personal experience in that court case the Lib Dems were not on the side of law and order (hence why the whole political party has a County Court court order against it), they have known links to foreign terrorism, which makes them people better not to associate with if at all possible.

This “paragon of virtue” in Councillor Harry Smith, who of course would never do things for party political purposes, is of course the kind of person the Liberal Democrats obviously have to listen seriously to, take his concerns seriously and let’s face it Cllr Harry Smith seriously wanted me out of the way.

He wanted to be reselected by his local Labour branch and complaining about me and eventually many years later persuading the Lib Dem Party to pick someone else in Bidston & Saint James who was less trouble to him (let’s face it how much trouble are you if you finish last in an election?) which they eventually they did in 2012 is all part of what led to Labour getting a majority on Wirral Council. The easiest way for them to achieve this was to destabilise the Lib Dems (which let’s face it wasn’t too hard and such tactics wouldn’t work as well on the Tories).

During that court case in 2011-2012, one of their party (Lib Dem party) employees that was someone high up in the party in fact he was Chief Executive, being paid the same salary as an MP, was around that time serving out his period of notice. Another party member working in party HQ seemed to want to scapegoat him, which I of course meddled in and prevented from happening by making an undefended application to the court and dragging a Judge in the County Court into the whole matter because to be honest by then it had gone beyond the actions of one person by then into an issue about a extremely badly run organisation. The Lib Dem Party of course want to make this former Chief Executive Chris Fox a member of the House of Lords (which let’s face it if one of the two parties of government pick you it’s pretty likely to happen)!

It’s all highly political and highly party political and perhaps a chapter of my life I’d rather forget! I do have a way of holding people to account that is somewhat unusual, highly unpredictable and not always in keeping with the demands of social and political etiquette because I have to sleep at night. It must be my background and training then.

Legal Department: Partly, but that’s still a complete mystery to us because you’re one of those odd people subject to the Official Secrets Act 1989 c.6 we don’t have access to your unredacted personnel file.

John Brace: Ha ha, indeed. Everyone has their secrets eh and you’re right there are things I’d better keep my mouth shut over (for now) after all things can snowball but it’s about time the public knew what really went on in the past but that is a story for another day. At least I got an apology later from one of the Lib Dems, but I suppose the party that extols the virtues of “freedom of speech” until somebody happens to mention something about the Lib Dem Party would accuse me of “breaching confidentiality” if wrote about which one it was! Best not to take politics too personally eh?

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Biffa asks Wirral’s Cabinet for a 10 year extension to bins & street cleaning contract worth at least £120 million

Biffa asks Wirral’s Cabinet for a 10 year extension to bins & street cleaning contract worth at least £120 million

Biffa asks Wirral’s Cabinet for a 10 year extension to bins & street cleaning contract worth at least £120 million

                                                      

Biffa Waste Service Limited November 2013 Invoice Wirral Council £1036840.28
Biffa Waste Service Limited November 2013 Invoice Wirral Council £1036840.28
Biffa Waste Service Limited December 2013 Invoice Wirral Council £1032201.28
Biffa Waste Service Limited December 2013 Invoice Wirral Council £1032201.28
Biffa Waste Service Limited January 2014 Invoice Wirral Council £1032201.28
Biffa Waste Service Limited January 2014 Invoice Wirral Council £1032201.28

Above are three of the recent monthly invoices to Wirral Council from Biffa Waste Services Limited for November 2013 (£1,036,840.28), December 2013 (£1,032,201.28) and January 2014 (£1,032,201.28).

I did not request the invoices for other months during that financial year (2013/14), but I would assume that the other nine are for similar amounts of around a million pounds. So why am I writing about this and what does Biffa Waste Services Limited actually do for it’s ~£12 million it receives each year from the taxpayer?

Well as shown on the invoices it’s for collecting the bins, cleaning the streets and extra amounts for working on a Bank Holiday. I’ll be looking more closely at the current contract with Biffa Waste Services Limited (which runs to 2017) tomorrow morning (if all goes well).

However there is some political news on the Biffa front, in fact Wirral Council seems to be bolstering itself for a bit of bad press coverage judging by the Cabinet papers for tonight’s Cabinet meeting (only tonight if you happen to reading this on the 11th September 2014).

If you’re interested in reading the papers yourself on Wirral Council’s website, it’s the Streetscene Environment Services Contract Extension item which is item 4 on Cabinet’s agenda.

I remember Mark Smith (a Wirral Council officer who is Head of Environment and Regulation) getting a grilling by the Chair (Rt Hon Frank Field MP) at a recent Birkenhead Constituency Committee meeting about what the Rt Hon Frank Field MP seemed to see as a lack of openness and transparency in the area of how Wirral Council manages the Biffa contract.

In the Rt Hon Frank Field MP’s view (from my memory of the meeting) he wanted (rather reasonably some might say) to know exactly what the public were getting for the ~£12 million a year that the taxpayer pays Biffa Waste Services Limited through Wirral Council. Sadly there was no one present at the meeting to answer for Biffa Waste Services Limited and Mark Smith seemed to struggle a little to give the kind of answers that Rt Hon Frank Field MP seemed to want to hear. However moving on from the frustrations of Birkenhead’s MP/Chair of the Birkenhead Constituency Committee to more local politics (although isn’t all politics local)?

Rather helpfully Appendix 5 to the Streetscene Environment Services Contract Extension item contains the following two entries on the risk register (copied below):

Risk No Description of risk Risk category Risk Owner Gross likelihood Score Gross impact score Total Gross Score Net Likelihood Score Net Impact Score Total Net Score Proposed Controls Responsibility Target date RAG Status
1 District Audit scrutiny on decision process likely Legal / Regulatory Tara Dumas 3 4 12 3 2 6 Member decision based on thorough analysis of risks. Best value comparison work to be undertaken – Local benchmarking plus APSE/Audit commission comparison Update on market position sought from previous consultants contracted to review Biffa contract. Process to be reviewed by internal audit TD
TD
TD
MGa
07/07/14
completed
07/07/14
07/07/14
G
C
G
G
2 Negative political and
media attention
Political/societal PR team – Kathryn Green 5 3 15 3 2 6 Proactive approach by PR with press releases Confirm offer not linked to service/workforce changes LF Post decision 31/5/2014 G
C

In other words, Wirral Council know (before any decision is formally made tonight to enter into negotiations) that it will cause all kinds of trouble. They’ve already decided (it seems) on a public relations line of telling the press it won’t lead to job losses/workforce changes and giving them the “gift” of a press release in the hope that most of the media will just print the press release more or less verbatim and not ask too many awkward questions about the matter.

They even know their external auditor (Grant Thornton) will be asking them a whole bunch of questions to do with it too but surprisingly there are even bigger risks than the media and Wirral Council’s auditors to tackle, although read the risk register at appendix 5 and hopefully you’ll see what I mean.

So how can I sum up what is proposed to be decided tonight quickly? The current contract will Biffa Waste Services Limited will end on March 2017.

The impression I get from reading between the lines of the Cabinet papers, (a lot of the detail has been kept deliberately secret by officers who are recommending to politicians to keep it secret too on grounds of commercial confidentiality) is that Biffa Waste Services Limited seemed to be somewhat concerned that if their multi-million pound 11 year contract ends on March 2017, that they would have to bid in a competitive tender against other companies and organisations for the new contract.

There’s then uncertainty (from Biffa’s perspective) over whether they would end up being the successful bidder or not. It’s called “competition” and is generally required for such large multi-million pound contracts because of all kinds of laws I won’t go into at this point and competition is therefore required for a whole bunch of good reasons.

So someone as Biffa Waste Services Limited has read through the contract they have with Wirral Council and found a caveat. There was a part in the contract that could extend it a further ten years (current prices of ~£12 million a year but yearly increases and variation are usually built-in). This contract covers “all household waste and recycling collections, street cleansing and fly tip removal, waste collection from schools and council offices and wheeled bin deliveries.”

All Biffa had to do to get a further ten years (at ~£12 million a year) was make a formal offer to Wirral Council (which they did) and have this agreed to by Wirral Council (which hasn’t happened yet with the earliest date expected being October 2014).

Due to the size of the amounts involved it has to be a decision made by politicians, specifically Wirral Council’s Cabinet and the councillor with responsibility for this area is the new(ish) Cabinet Member for Environment and Sustainability Councillor Bernie Mooney (who replaced Brian Kenny earlier this year when he lost an election in May to the Green Party councillor Pat Cleary).

However what’s in the currently exempt appendices?

Well appendix 1 covers the “value and suggested terms of the formal offer from Biffa in return for the Council extending the contract to 2027. In summary the proposal offers the Council a one-off saving split between 2014/15, 2015/16 and 2016/17 followed by a continued annual reduction in the core contract price throughout the remainder of the extended contract period to the equivalent value. Officers asked Biffa to clarify the benefits to Biffa if the contract extension was agreed.”

I’m not allowed to link to appendix 1 (as it’s currently a big secret and you’d get an “access denied” type message from Wirral Council’s website if I did), but as the language used by a Wirral Council officer is rather opaque, it has to boil down to how I imagine a summary of what Biffa offered Wirral Council … “give us a further ten years and we will give you very good price if you pick us. Our price is very reasonable, many savings to be had, very good price, you buy from us again we treat you well. We are very good supplier and will take your bins to tip and keep streets clean for another 10 years for a very reasonable price.”

Wirral Council officers asked Biffa to clarify what Biffa would get out of extending the contract a further ten years.

Biffa responded to this on the 10th February 2014. Again I’m not allowed to show you Biffa’s response either on the instructions of Wirral Council officers!

The summary of this response is again in rather opaque language “Biffa indicated that the savings they could offer arose from avoiding future procurement and mobilisation costs, the ability to re-finance their operations and a reduction in overheads due to the stable nature of the contract. The discount is not linked to any service changes.”

In other words Biffa are saying “grant us a monopoly, save us the cost of having to retender for the contract in 2017, Wirral Council will save money from having to retender the contract” (which is a bit of a debatable point really anyway considering the extra costs this will cause doing it this way) “and Biffa will be able to borrow money cheaper because we’ll have a longer contract.” To be honest I don’t agree entirely with Biffa’s point about overheads being significantly lower to justify this.

Another letter from Biffa (exempt appendix 3) is also currently being kept secret by Wirral Council officers (pending a decision by politicians). This letter is about an offer to redesign the fleet of bin lorries from 2017 to collect things such as food waste (to meet Wirral Council’s recycling targets).

However Biffa make it clear that this is absolutely Biffa’s final offer (well unless Wirral Council’s Cabinet say no to negotiations or no to the offer in October 2014 and Biffa have to bid for the new contract starting in 2017)!

Wirral Council officers seem very keen to have the Labour councillors on Wirral Council’s Cabinet agree to Biffa’s plan. “80p cheaper per a Wirral person than Liverpool” they state in the report, but strangely 15p more per a person than in Sefton!

Of course Wirral Council’s Cabinet could just choose to reject Biffa’s proposal and decide to bring the service in-house from 2017.

The recent street cleansing cuts to the contract, have been the source of both political and media attention in the recent past. However, what’s the officer’s recommendation?

Oh and before I get to that, Wirral Council asked Eunomia (are they consultants?) in 2012 to look at the Biffa contract, the consultants in fact suggested the contract should be retendered! Eunomia also suggested that if Wirral Council did agree to extend the contract by a further ten years than there should be changes to “contract clauses relating to indexation, labour cost inflation and future efficiency gains” which would be extremely sensible to do considering the current contract is linked to RPI (and let’s face it inflation is quite high)! However the Eunomia assessment is now two years out of date and things have changed somewhat since then.

As Wirral Council officers freely admit in 5.3.4 of this report, they don’t really know if this will save any money at all versus retendering the contract, it all just seems to be educated guesswork and unknown quantities.

The estimated savings have been listed, but surprisingly (and isn’t this usually the case?) not the increased costs (such as an increased audit bill from Grant Thornton for extra work).

It’s the report gets to “legal implications” that things start to get interesting!

Here’s a quote from 10.2 “The Legal colleagues have highlighted that it is necessary to limit the amount of material changes to the contract in order to minimise the risk of the Council being challenged on the legalities of the extension.”

In other words, do it right otherwise one of Biffa’s competitors, or in fact anyone could sue Wirral Council over how it was done.

Then entering into catch 22 territory the legal advice continues:

“Due consideration has been given to establishing whether the Biffa proposal offers Value for Money (Sections 4 and 5 refers) as required under the Council’s Contract Procedure Rules. However, it is important to note that the only decisive way to determine whether a more advantageous contract could be secured by the Council would be through retendering the contract.”

In other words, Wirral Council don’t know whether this saves them money without retendering the contract in 2017, but if they agree to Biffa’s proposal they won’t be retendering the contract in 2017 so they’ll never really know or be able to prove “value for money” to their external auditors Grant Thornton.

However let’s see, what do officers want? They want politicians to agree to them to enter into negotiations with Biffa, more specifically the Strategic Director of Regeneration and Environment (currently Kevin Adderley) and then report back to Cabinet no later than October 2014.

Personally (and this is just an opinion) I think politicians on the Cabinet will probably agree to enter into negotiations with Biffa tonight (even though Labour’s tendency in the past has been to bring back services in-house), if only just to keep their options open in October 2014. Quite what the Rt Hon Frank Field MP’s views on this latest development in the Biffa saga are at the time of writing unknown.

Coming up next today: What Wirral Council’s Cabinet is planning to do about Children’s Centres.

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